A current account helps businesses and self-employed individuals manage their daily finances efficiently. The features offered by these accounts vary from savings account features to a great extent. Current accounts not only offer business debit cards that facilitate fast online fund transfer but also offer cash management solutions to help businesses streamline their cash flow. Digital current accounts can be opened through a 100% online process that can be completed through a mobile banking app.
However, apart from the features mentioned above, there are other hidden features that certain current accounts offer, depending on the financial institution and the type of current account you opt for. These hidden, additional features can help business owners elevate their overall banking experience.
Hidden features of current accounts that you must know:
- The auto-sweep deposit option can help you grow your savings: Growing the customer’s savings is a feature specific to savings accounts. However, certain current accounts help you meet the same objective through the auto-sweep deposit option, like the IndusInd Bank Indus Select Current Account. This digital account helps you automatically transfer excess balance from your current account into a fixed deposit account with an attractive interest rate.
- Certain banks help you group your current accounts together: As a business owner, if you wish to link your current account to the current account of one or more family members, you can do so using the ‘grouping of current accounts’ feature. Certain current accounts also help you maintain the required group balance in one or more current accounts. This feature is particularly helpful for individuals or businesses that have multiple current accounts.
- Banks also offer dynamic cash deposit limits through their online current accounts: The Average Monthly Balance (AMB) of a bank account is the minimum average balance that you as a customer must maintain in your bank account, as decided by the bank. Certain current accounts offer the ‘dynamic cash deposit limit’ feature that helps you deposit higher amounts of cash in your current account. The IndusInd Bank Indus Premier Current Account, for instance, helps customers make a cash deposit of up to 8x the previous month’s AMB or ₹10 lakh, whichever is higher.
- Customers can benefit from a no monthly balance requirement: Certain current accounts do not have a minimum monthly balance requirement. You will not have to bear any penalty charges based on the amount of money deposited in your current account.
In summary
Some of the hidden features of current accounts include the no minimum balance feature, dynamic cash deposit limits, the grouping of multiple current accounts, and the auto-sweep option. To add to these features, digital current accounts offer a more convenient and quicker account opening procedure and doorstep banking services like free cheque and cash pickups up to a predefined limit.
You can open a current account online by visiting a bank’s website or downloading its mobile banking app. Be sure to assess the efficiency of the bank’s mobile banking services before opting for its digital current account.